Economics (page 2)

The OBR figures released today for the Autumn Statement showed lower economic growth translating into lower wage growth for the next four years. On top of this, weaker sterling has translated into significantly higher inflation, especially in 2017. For working people this is a double whammy that hits living standards – or real earnings –…

In the details of Philip Hammond’s Autumn Statement came a worrying confirmation for those of us campaigning for a pay rise for Britain’s workforce. The Autumn Statement’s accompanying OBR forecast shows that the average annual wage will be £1,000 lower in 2020 than predicted at this year’s Budget. And this is on top of wages still having…

(This post is the fuller version of remarks I made at the launch of Econocracy: The Perils of Leaving Economics to the Experts, by Joe Earle, Cahal Moran and Zach Ward-Perkins of ‘Rethinking Economics, London School of Economics, 21ST November 2016.) Parallels have rightly been drawn between the present crisis in economics and the events…

The Prime Minister used her speech to the CBI this morning to appear to dilute her previous commitment to put workers on company boards. If this is the case, it represents a huge missed opportunity to put in place a different model for British business, which would bring benefits for companies, for working people and…

Last year, in his summer Budget, George Osborne announced a couple of measures designed to penalise large low-income families. One was the reduction in the Benefit Cap, from £26,000 to £23,000 in London, £20,000 elsewhere. The limit mainly applies to people who need to claim Housing Benefit for high rents. That is mainly families with…

The Prime Minister says she wants ‘an economy that works for everyone’. The Autumn Statement – or mini budget – on the 23rd of November, will be the first test of her commitment, and that of the Chancellor, to put that into practice. Here’s the actions we believe would show she’s serious about that goal.…

New TUC analysis shows the UK ranking towards the bottom of OECD countries across a number of categories of investment vital for economic development. The analysis has been issued to support our submission to the Treasury on the Autumn Statement which is published today (see Kate Bell’s blog here). Most strikingly of all, at 0.6%…

Inflation figures today show that, so far, retailers are absorbing the costs of the fall in sterling. CPI inflation came in below expectations to fall back to 0.9% from 1.0% in September (the Bank of England expected a rise to 1.1%). While the rise in inflation is still significant (it’s 2.0% on RPI), particularly given…

The ‘rethinking economics’ student movement has been one of the few highlights of the dismal years since the financial crisis. In their new book The Econocracy: The perils of leaving economics to the experts, three of their number – Joe Earle, Cahal Moran and Zach Ward-Perkins – set out in full their case for the…

In the wake of the Brexit vote, 2016 Q3 quarterly GDP growth of 0.5% (down from 0.7% in Q2) is regarded as a ‘result’. Growth compared with the same quarter a year ago is 2.3%, the highest since 2015 Q2 (when 2.4%). In the industry detail, however, it’s business as usual. Contributions to quarterly growth,…